Tron (TRX) – To short or not to short?

Tron (TRX) has been on
bullish trajectory for the past one week. From its lowest point in December,
Tron is up by over 100%. Even in today’s market crash, Tron (TRX) looks
unfazed, and is still in the green. This makes it quite tempting for investors
to FOMO in. However, it also comes across as a nice short, since after such a
massive rise in price, a correction is bound to happen at some point.
Therefore, the big question now is, does Tron (TRX) make for the perfect short,
or is there a possibility of it continuing on its current trajectory? Let’s go through
a few reasons why Tron
(TRX) could be a good short, and a few others why it makes for a good buy.

Why
to short Tron (TRX)

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After a whole year in the
red, the crypto market is becoming quite predictable. Every time a crypto pumps
while the rest of the market is bearish, it is usually an artificial pump, and is
more often than not followed by a dump. There are many examples to support it.
At some point last year, Metaverse (ETP) was on a consistent Bull Run, even as
the rest of the market dropped. Ethereum (ETH) too was pumping for the last few
weeks of 2018, but it’s now dumping again, faster than most top 10 cryptos. It
has even slipped back to 3rd position. Many other examples abound. As
such, Tron (TRX)’s solo bull rally could also be a pump that will be followed
by a huge dump later along. As such, in the short term, a well-timed short on Tron
(TRX) would most likely give good returns.

On top of that, in making successful
trades, the trick is always to buy low and sell high. In the case of Tron
(TRX), that opportunity may have passed in the short-term. Anyone who bought
Tron at $0.01 is already swimming in money. They got in at a major support
level, which was also the point of lowest risk. That’s not the case for someone
getting in now. Anyone getting into the market now is taking a higher amount of
risk. That’s because, after a more than 100% increase in price, those who got
in early could start taking profits. The result is that a correction would hurt
late comers.

Why
to hold on to Tron (TRX)

While shorting Tron could
have potentially high returns, it doesn’t mean that HODLing is a bad idea. That’s
because in the grand scheme of things, Tron (TRX) is heavily undervalued, when
compared to its all-time highs. The idea that Tron is undervalued is supported
by the fact that it has made tremendous progress this year in terms of technical
development, and it terms of adoption. The purchase and integration of
Bittorent alone makes Tron (TRX) extremely undervalued when trading at under
$0.10. In essence, long term, Tron (TRX)
makes for a good hold.

In essence, Tron (TRX) makes
for a good short in the short-term, but a good hold in the long-term.

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